Utility rate increase

This letter is to protest the proposed legislation [Senate Bill 207] that would increase electric rates for consumers in the form of "surcharges." This means an additional charge will be added to our electric bill -- above and beyond the base rate, fuel charge and taxes.

This is another scheme by Ameren Missouri and other electric companies in Missouri to raise our rates without seeking a traditional rate increase. Surcharges are a risk to consumers for a variety of reasons and I'll name a few: Surcharges can reduce the utility's incentive to control costs, allow utilities to over-collect costs and are a violation of a fundamental accounting and rate-making principle.

The electric companies that are pushing this legislation have earned millions of dollars -- and continue to ear millions due to numerous rate hikes over the years -- that should be used to replace aging infrastructures. Consumers should not be responsible for incurring surcharges so that electric companies can confine to line their well-heeled pockets.

PHYLLIS McCLANAHAN, Cape Girardeau